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Value-Added Logistics Services – FAQ

In recent years, the role of logistics managers has experienced several changes due to changing technologies and greater globalization. There are, however, other factors that have contributed to the increased complexities of managing a business’s logistics.

Consumer behavior is under a constant state of change, which has played its part in impacting the logistics industry. Consumer preferences have become more customized, which has resulted in retailers asking suppliers and logistics providers to provide value-added services, also known as premium services.

Value-added services are defined as a service adding an extra feature in addition to the basic, agreed-upon scope of services. The introduction of value-added services to the market has resulted in a new trend, creating an expectation upon retail vendors and logistics providers in terms of deliverables.

Price and delivery speed are a few factors to be considered when looking for logistics services for your business. Logistics companies must stand apart from their competitors through a range of value-added services which are intended to boost brand presence in the market and benefit a client through increased customer satisfaction and loyalty.

In an age where brands seek competitive advantages in terms of additional services that can be offered, there is a rise in demand for value added services that can improve space, time, and capital utilization (e.g. maintaining low inventory levels), in addition to constant adaptation to evolving customer behavioral patterns. Listed below are a few examples of value-added services offered to customers by clients these days:

  • Personalization: An increasing trend in today’s world involves tailoring, or modifying, the product as per a customer specifications. This also involves modification of some products with the addition of more packaging in the event of fragile products, enabling the reduction of obsolete and redundant products.
  • Kitting: This service is required when two or more products are to be bundled together as per the terms specified by the client. This includes the addition of promotional items or sample products to the current product. When it comes to customization of the kit, individual products are stored in warehouses, which are then packed per customer needs when picked up by third-party logistics teams.
  • Supplier Reduction: Existing partners can be requested to execute more functionalities with the objective of supplier reduction, which can play a major role in streamlining the supply chain and reducing its complexities.
  • Labelling: This process adds value and makes a good impression on packaged items and goods. This service is in addition to placement of essential stickers and labels, such as brand labels, barcodes, or customized items.
  • Reverse Logistics & Replacement: Certain logistics providers allow customers to make modifications at any point in the supply chain. Another common value-added service is return management, which involves the management of customer refunds, recovery, and excess inventory handling.

Blue Bell Shipping was established in 1987 and offers diverse logistics services under one roof with quality and value to our customers. At the same time, our international offices and strong network of overseas partners makes it possible for us to have a worldwide presence, thus providing value added logistics services and solutions across the globe.

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